What you can do in online banking

Online banking lets you see your balance, move money between accounts, pay bills, and download statements without visiting a branch or calling customer service. Most banks offer this through a website you log into with a username and password, or through a mobile app on your phone. You can do these things at any time of day, from anywhere with an internet connection.

The specific features vary by bank. Some let you deposit checks by taking a photo with your phone. Others let you set up automatic payments to the same person or company every month. Nearly all of them show you transactions within a day or two of when they post, which is faster than waiting for a paper statement.

Online banking does not replace the physical card or checks you might use to spend money. It is a separate way to manage the account itself — to see what is in it, move money around, and keep track of where it goes.

Key Takeaways

  • You log in with a username and password that the bank gives you when you open the account, or that you create yourself during your first visit to their website.
  • Most banks require you to verify your identity the first time you log in from a new device, usually by entering a code they text or email to you.
  • You can see your balance and recent transactions immediately, but transfers between banks and bill payments often take one to three business days to complete.
  • If you forget your password, the bank's website has a "Forgot Password" link that walks you through resetting it, usually by answering security questions or confirming your identity by email.

Setting up your login for the first time

When you open a checking account, the bank gives you a temporary username or tells you to create one on their website. You will also create a password — the bank usually requires it to be at least 8 characters long and to include both letters and numbers. Write this down somewhere safe, or use a password manager if you have one.

The first time you log in, the bank may ask you to set up security questions — questions only you would know the answer to, like the name of your first pet or the city where you were born. These are used to confirm your identity if you forget your password later. Answer them honestly and remember your answers.

Some banks also ask you to choose a phone number or email address where they can send you verification codes. This is a backup way to prove it is really you when you log in from a new device or browser.

Logging in from your computer or phone

Go to your bank's website and look for a button that says "Log In" or "Sign In" — it is usually in the top right corner. Enter your username and password. If you are logging in from a device the bank has never seen before, it will ask you to verify your identity. This usually means entering a code that the bank texts or emails to you.

If you use your bank's mobile app instead, the process is the same: enter your username and password, then verify your identity if prompted. Many banks let you use your phone's fingerprint or face recognition instead of typing your password every time, which is faster and just as secure.

Once you are logged in, you will see your account dashboard — a page showing your current balance, recent transactions, and links to other features. The layout varies by bank, but the information is always in roughly the same place.

Checking your balance and transaction history

Your current balance appears on the main dashboard as soon as you log in. This is the amount of money in your account right now. Below that, you will see a list of recent transactions — deposits, withdrawals, transfers, and fees. Each transaction shows the date, the amount, and usually a description of what it was for.

Transactions usually appear within one business day of when they happen. A purchase you make on Tuesday might not show up until Wednesday or Thursday. Deposits from your employer or another bank can take one to three business days, depending on how the money is sent.

If you need to see older transactions, most banks let you download or view statements going back several years. Look for a link that says "Statements" or "History" and choose the date range you want. You can usually download these as a PDF file to keep for your records.

Transferring money between your own accounts

If you have more than one account at the same bank — a checking account and a savings account, for example — you can move money between them online. Look for a button or link that says "Transfer" or "Move Money." The bank will ask you which account to transfer from, which account to transfer to, and how much money to move.

Transfers between your own accounts at the same bank usually happen immediately or within a few hours. You will see the money leave one account and arrive in the other on the same day. The bank does not charge a fee for this.

If you want to transfer money to an account at a different bank, the process is similar but takes longer. You will need the other bank's routing number and your account number there. The transfer usually takes one to three business days. Some banks charge a small fee for transfers to other banks, and some do not — check your account agreement or ask customer service.

Paying bills online

Most banks let you pay bills through their website or app without writing a check. Look for a button that says "Pay Bills" or "Bill Pay." The bank will ask you to enter the company you are paying, the amount, and the date you want the payment to go out.

The first time you pay a particular company, you will need to give the bank that company's mailing address. After that, the bank remembers it and you just enter the amount and date. Some banks let you set up automatic payments so the same bill is paid on the same day every month without you having to do anything.

Bill payments usually take one to three business days to reach the company. If a bill is due on the 15th, send the payment by the 12th or 13th to be safe. The bank will show the payment as pending in your transaction list until it clears.

Resetting your password if you forget it

Go to your bank's login page and look for a link that says "Forgot Password" or "Forgot Username." Click it. The bank will ask you to enter your username or the email address or phone number associated with your account.

The bank will then ask you to prove you are who you say you are. This usually means answering the security questions you set up when you opened the account, or entering a code the bank texts or emails to you. Once you have verified your identity, the bank will let you create a new password.

If you cannot remember the answers to your security questions, or if you no longer have access to the phone number or email the bank has on file, you will need to call the bank or visit a branch in person. Bring a photo ID. This is why it is important to keep your contact information up to date with the bank.

Staying safe while banking online

Never share your password with anyone, including bank employees. The bank will never ask you for your password by email, text, or phone. If someone contacts you claiming to be from the bank and asking for your password, it is a scam — hang up or delete the message.

Log out when you are done banking, especially if you are using a shared computer. Most banks log you out automatically after 15 or 30 minutes of inactivity, but it is safer to click the logout button yourself.

Use a secure internet connection when you bank online. Avoid using public Wi-Fi at a coffee shop or library. If you must use public Wi-Fi, use your phone's personal hotspot instead, or wait until you are home. Your bank's website is encrypted, which means the information you send is scrambled, but a public network can still be risky.

Frequently Asked Questions

What if I see a transaction I did not make?

Contact your bank right away. Most banks have a fraud department that investigates unauthorized transactions. You can usually report it through your online banking portal or by calling the number on the back of your debit card. The bank will freeze the transaction and send you a new card if needed.

Can I use online banking on my work computer?

You can, but it is not recommended. Work computers are often monitored by your employer, and they may not be as secure as your personal device. If you must use a work computer, log out completely when you are done and do not save your password.

Why does my balance show differently on my receipt than online?

Transactions take time to process. A purchase you just made might show on your receipt immediately but not appear in your online balance for a day or two. Your online balance is usually more current than a receipt, but neither is final until the transaction fully clears.

What happens if I lose my phone and cannot receive verification codes?

Call your bank and tell them you lost your phone. They can remove the old phone number from your account and add a new one, or they can verify your identity another way so you can log in. This is why it is important to have a backup phone number or email on file with the bank.

Can I set up online banking if I have not opened my account yet?

No, you need to open the account first. You can do this at a branch, by phone, or on the bank's website. Once the account is open, the bank will give you the information you need to set up online banking.